Pricing, Shipping, Billing, Revenue and Credit

SD / O2Cintermediate

Pricing, Shipping, Billing and Credit Part 2: Configuration and Document Flow

Key takeaway

The configuration chain behind value flow: sales document type settings (pricing procedure determination, credit groups, delivery and billing types), item and schedule line categories, copy control with pricing types, delivery-related and order-related billing, account determination and document flow tracing.

Explanation

📌 KEY POINTS
✅ Pricing procedure = sales area + document pricing procedure + customer pricing procedure (OVKK).
✅ Order type links credit groups, delivery type and billing type.
✅ Item category controls pricing, billing relevance (delivery vs order-related) and credit activity.
✅ Copy control pricing type decides whether prices are copied or redetermined in billing.
⚠️ A change in one link (e.g. new order type) requires checking the whole chain.

━━━━━━━━━━━━━━━━━━━━
▶ WHERE WE ARE
Part 1 showed the value stream. Now the configuration chain.

━━━━━━━━━━━━━━━━━━━━
▶ 1. ORDER TYPE

Document pricing procedure, credit groups, delivery type, billing type.

━━━━━━━━━━━━━━━━━━━━
▶ 2. ITEM AND SCHEDULE LINE

Item category: pricing, billing relevance, credit active.
Schedule line: delivery relevance, movement type.

━━━━━━━━━━━━━━━━━━━━
▶ 3. COPY CONTROL

Order → delivery (VTLA), delivery → billing (VTFL), order → billing (VTFA).
Pricing types (e.g. copy, redetermine freight/taxes).

━━━━━━━━━━━━━━━━━━━━
▶ 4. ACCOUNT DETERMINATION

VKOA: account assignment groups + account keys → G/L.

━━━━━━━━━━━━━━━━━━━━
▶ 5. DOCUMENT FLOW

Tracing order → delivery → billing → accounting.

━━━━━━━━━━━━━━━━━━━━
▶ STEP BY STEP

Trace settings for a standard order type.
Check copy control to billing.
Check VKOA for the item's keys.

✅ CHECKPOINT: you can predict pricing, delivery, billing and postings from configuration before testing.

Code example

ABAP Code

===== STEP 1: chain =====OVKK: 1000/10/00 + doc proc A + cust proc 1 → RVAA01VOV8 OR: credit group 01, delivery type LF, billing type F2VOV7 TAN: pricing X, billing relevance A, credit active | VOV6 CP: movement 601 ===== STEP 2: copy control =====VTLA OR → LF | VTFL LF → F2: pricing type (e.g. G copy, redetermine taxes) ===== STEP 3: postings =====VKOA: KOFK/KOFI, account assignment groups, ERL → revenue G/L

Real project scenario

During an S/4HANA Private Cloud support ticket, invoices for a new order type showed different prices than orders. The new order type had been assigned a different document pricing procedure, and copy control redetermined prices. Aligning the pricing procedure determination and copy control pricing type with the standard type fixed it.

Common mistakes

Changing one link without checking others.
Wrong pricing type in copy control.
Missing credit groups on new types.
Incomplete VKOA.
No document flow checks.

Best practices

Document the configuration chain.
Use checklists for new document types.
Test end to end.
Keep copy control consistent.
Trace issues via document flow.

Interview angle

Questions: "How is the pricing procedure determined?", "What links order, delivery and billing types?", "What does the pricing type in copy control do?"
Strong answer: OVKK determination, order type links, item/schedule line control, copy control with pricing types, VKOA, document flow.

Practice this lesson

Quick check

1. Which copy control setting decides whether billing copies or redetermines prices?

2. Which setting links an order type to its default delivery and billing types?

3. Interviewers commonly ask candidates to describe the sales document flow from order to accounting and to explain where pricing, credit and billing intersect. In the Pricing, Shipping, Billing, Revenue and Credit context, which answer shows the strongest practical judgment?

Interview questions

1. A new order type was created by copy, but orders aren't credit-checked, deliveries use the wrong type and invoices reprice. What do you check?

Answer it in your own words first, then compare.

2. Walk through the end-to-end lifecycle of a multi-year condition contract used for rebate settlement, from contract creation through business volume determination to final settlement, and identify the billing configuration decisions that most directly affect settlement accuracy.